Tax Relief with Logan Allec, CPA

Your CPA Might Be WRONG About IRS Penalty Abatement

• Logan Allec

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0:00 | 8:05

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Is first-time penalty abatement a benefit you can use only once? I break down a CPA's claim, explain the three-year compliance-history test, and compare paying a penalty, leaving it unpaid, and having it removed through FTA. We also cover why reasonable-cause relief is different and how a penalty year eventually falls outside the lookback.

The 2025–2029 examples illustrate FTA with Automatic Exemption from Penalty (AEP) set aside. The video also briefly notes the transition to AEP; eligibility depends on the return, penalty and account history.

CHAPTERS
0:00 IRS penalty abatement confusion
0:53 The CPA's post
2:02 How first-time abatement works
3:10 FTA isn't once in a lifetime
4:00 The next three years: paid, unpaid or FTA
5:30 Reasonable cause and the lookback period
6:20 What happens in 2029 and later
6:45 Why tax-resolution experience matters
7:46 Free consultation

IRS SOURCES
IRS administrative penalty relief (FTA and AEP):
https://www.irs.gov/payments/administ...
IRM 20.1.1.3.3.2.1 — First Time Abate:
https://www.irs.gov/irm/part20/irm_20...
IRS penalty relief for reasonable cause:
https://www.irs.gov/payments/penalty-...

Book your free tax-relief consultation:
https://choicetaxrelief.com/free-tax-...